The extremely disputed Robinhood shares claimed by each BlockFi and FTX is perhaps transferred to a impartial dealer or an escrow account whereas the courts decide the rightful proprietor.
Digital asset lender BlockFi not too long ago sued former FTX CEO Sam Bankman-Fried to say the shares that have been supposedly pledged as collateral for the greater than $600 million that BlockFi loaned to Alameda Analysis.
The 56 million Robinhood Markets shares, that are presently frozen, are value round $450 million. They’re owned by Bankman-Fried’s holding firm Emergent Constancy Applied sciences, which was fashioned in Antigua and Barbuda and held by a brokerage firm referred to as Marex Capital Markets. In line with a lawyer from the brokerage agency, the corporate would proceed to carry the shares till a courtroom order is issued.
In a brand new replace to the dispute, chapter Choose Michael Kaplan has stated that on Jan. 9, he would assessment whether or not the shares must be transferred to a impartial dealer below the jurisdiction of the US, following a request from BlockFi. Kaplan famous that he can be contemplating questions on who owns the shares after the attorneys have extra time to research competing claims.
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On Dec. 23, FTX requested the courtroom to cease BlockFi from claiming the Robinhood shares. The corporate argued that by holding the shares the place they’re, the claimants — which embrace BlockFi, Bankman-Fried and FTX creditor Yonathan Ben Shimon — can “take part in an orderly claims course of.” FTX requested an extension of the belongings’ “keep” on their facet of the fence if not accredited
In the meantime, an affidavit filed by the previous FTX CEO revealed that he borrowed $546 million from Alameda to buy the extremely sought-after Robinhood shares. The funds have been lent by Alameda Analysis to each Bankman-Fried and FTX co-founder Gary Wang to make the acquisition.